Tata Consultancy Services (TCS), already the most valued Indian company by market capitalisation and the second most by profitability among private companies, hit a new milestone on Wednesday as its market capitalisation crossed Rs 5 lakh crore mark.

With TCS share prices rising 2.21 per cent to Rs 2,586.9, the market capitalisation of the company soared to Rs 5,06,696 crore. In dollar terms the valuation stood at $84.4 billion. Market experts however feel that the company is still valued lower than its global peers.

“TCS market cap is far less than its global competitor IBM, which is valued at nearly $200 billion,” said Rakesh Tarway, vice-president and head of equity and derivatives, Motilal Oswal Securities.

On Wednesday, the BSE Sensex rose 121 points to close at a new high of 26,147.3, boosted by gains in IT and banking shares on upbeat earnings, robust capital inflows and positive global cues.